Generalis abil i ty , reliabil ity and validity

Ho[~!ede Assumes that culture is stable or extremely slow moving. lind therefore the scores from the 1970s :rnd 19805 are still relevant today. There hal'e nonetheless been reseaN;h conducted thm have shown some convergence bc:lwe-en coumrio:s. p~l1ic.ularly in Europe-This quo:~tions lho: re1i~hi!i[y

"r

^using Hols[".Jc·s sctlTCS. Bul even

ir

^thl.,.C hal'c occurred

.:tm\'crg~n~" hetw~en cuuntri,,~. it is nol likely to be tremendous meaning that is extremely unlikely that II eountr), bas mown frolll. say. strong. uncertainlY avoidance to weak. Further I-Iofstedc·s SCOfCS arc meant to show relative diffefCnces between cO\Ultrics. these remain despite some convergence. Therefore thi~ thesi~ ktqls the fllcu~ mllre on the relat;ve

din.,ren~es belmXIl countries mtho:r than ahsolute SCtIro:s,

Beyond Budgeting originates from practice and the inspiration is taken from scI'ernl companies in many couulries. The claim Ihal Beyond Budgeting i~ Sc;mdinav;an ralher lhan EUropt'Wl. Western or ~ jlw;~w IIr cultures is SlIughL HI ht: v~IIili1H:d by th" ,da!;ve importance in Ih" lil"ratUf(l c.rScandimll·ian cQmpanies. I he assumption i~ that if a company has sc"cml mrntion~ it is propol1ional more important for the dcsign of the concept. Furthcr.

il is assumed th,al the mort' detailed the accoum is. the more important the case is. The in·

depth distinction is made when the described comp~n) hilS got it5 l)WIl he'lding III lhe ar\id~

(IT book Lastly lh~ nauonality "I" the fl\'rsmls recngni.'<Cd a~ pinnceN "I" Aeynnd Budgeting has been drolwn inll) Ih", cqllliliun Th."." is no rea<llll to Ihink thill Hope and Fraser have

n~glcctctl t<> mention companic~ that haw been illstrumcnllli to the forming of Llcyoud BlU1gcting, As such the information givcn in the lilerntme should be rcliable.

"

An objection can

be:

made (owards the assumption thai more: mcmions ora case mcan$1hat it

I~ more important

It

is possible llial certain (lflh" CiISn that <IT" m",,[ional ""'tTJ.1IimC"'l arc HUI tiue III iL~ impmtunc", \n the "'m~"Pl hUl .-.tlh.,.- thaI ;\ ;UUSlra\o:>s ecrtain points that

m.:

amhon wish tn convey tn L'Onvincc sceptic5. I'or example. it can be imagined dull a ^va)"

reputable company is named multiple times

DOl

50 much for its

rc:iatin'

imponancc lor

the concept as to COll\'C)' tho: Illessa!!" W pUlcntoai adopl",rs Lhill lhi~ is l'"mdhmg big. socccssful and M!riuus cUmranil'!! cutlsider. Nnm'lhdcs.~. !he nwnher of anidC1; published and amount

of companies mentioned should

be

large cnou£b 10 I'alidmc this ml"lhod.

Another USp«l is lh" lI",sl~ninll urn:tlinnall1ic.~ lit l~ oompumcs.. An objection to the validity

of this is that many of them

M:

muhirlluional companies. Uowcvcr. most multinational

fkyond Rudgdinl; "hile the parent ~'01T1rany IS huflllily ul}concem<Xi. This i~ not likely to

be

an imJlOrtant factor for this thesis a~ nlO$1 companies aclUaJly hDve been assigned II n:uionality in the reviewed litt1lllUl'C. In sunutlilry the \lIJidal;ol\ method used to prol'c the ..,laim that Beyond Budlltling is ofSl:lll1dinlivilll\ orillin $hould be mhu.~1

rhis lhesis pmdLll:C;'I 1"0 maps (figure 4 ~ IlIld 4.5) to indicate the sprcnd. or rAther the IIppm:<imalion Iha! ma~ nol "" "nliTd~ "-~'ITC<;t. hut shuuJd n"ncthclc~~ ~I'\'e-as a rcasoll~blc approxlmaliun. St.'Conrll), the nK:mhcrship lislS docs not pro\'ide D complete ol'crvic" ul' 11<:)'ond Budgeting companies.. Tocre arc companies Ihat CDn

be

fCfcrn:\l to a~ Reyund Uudgcling companies th9t have not been a melllber. ill leas! not 10 the mcmhership lists compiled in this thesis. Thirdl}', not all members in the list "-<Ill \,.. ..aid In

ha,,·

^seriously

I:on~iderro impkmmtutiun or Reynnd RudHctinH_ AcccntuTC" i~ lUl cXDIlIple of a company

J3

thaI cmc.-red u.~ member more: or less ttl Kd an overview of what was ~"inl! un. f'ossibly.

then-all.! funbcr cxampks of companies with II similar uilenda.. Fnunh!)'. the first map. figun:

4.4. excludes

the

forei~'l1 suhilidiarics. It i.o; a fatllhm illlffitl nfthc companies have introc1ucal lk)'und BudlOt'ling In ~rnc Dr aU of their fore;!!n $ub.~idiarics. By nOI considmng these !he indication ral1~ In IIccuracy. This is somt".ho\ remedied in the secuntl map .... here the v;orldw;de prcscllcc of the current m""'oors arc 500"11. But it is 001 bwmn "hich compnnics lhaL have cxponcd Beyond Rudgding in which 5Ubsidillri<:s. n..,n,rorc il cannot

be

taken all

more !han an itxlicalion urIbe potcruial spread for Rcyund Budgeting. Therefore the ~ec"nd

nulp, figure 4.5. iii unly based on tbe current BRRT m~mt:ocrll. not including fonm.'T mt:111bi:rs or C}(cIU!l,,-dy regional IlIcmbcn. The clIITcnl members

provide

n large tIMIllgh sample. 69 out uf 160, ~ lhal1hc indkution ~"" he said 10

be

rcprescnt:lli"~ ror [}.., enlm: popuLalion.

Mure than thai is nOI n~~deLl lU con,·cy the paim that th~1l.' an: putcntiaUy Ikyond [ludgel<'l'll in nearly aU countri~~. ~lhcit wilh a higher degree ur likelihood in the countries "ilh ITKin!

observations. In summary the indkation unhe sprcRd in Ihe maps (mool bI= claimed 10 be a reliable inLlicaUnn or absolUle spread or Reyond lludgcting. The- maps ~h"uILl however still

~ a "alid indication ortile ~IfIUln'll spread of lkrond Budg~linl! This means that the nuLP~

indicate "hieh regiOIl5 and euuntne!; that ha\-e a higher populalmn uf Bcyond lJudgeters lhan mhcrs- not how many there nctually are in each wunlry "r region.

Th~ unal y~is or Ikyond !.ludgeli!)!! inYul"e.~ tho: interpretation of qualilat; \" data. I here

is

ulwuy~ a ri9k th31 another reseurcher will interpret the same inrilrmalion in another way or value uther infollllll1ion iI'mlable ITlOfC highly. ThcTc: is no way ILl 8uaramCC' agaillst thi~

other

than

by being a.~ transparent as possibk 00 h,," this thesis hils drnwn its com.:lusion~

01.11 of the inronnat;oo

used.

Jbcre is a potenlial problem of gellt'tIllisabilily if the tolldusioltll "en! dra\m out of particular 1.'11mpany examples. Le. cases. The reason is that 1.1.Impanics pnH:ticc Beyond Rod!!eting difl'crcntlr liS there is hard! y anything of a recipe on 00'" Beyond lJudgeting shuulLl he implemented a!1d I'racliceU that holds uuc for all companies. ThCTerilTl: thL~ thesis h~s chosen III

bas..:

th,s part of

[he

analysis ^\)11 Hupe and Fraser's book "n fk)'oOO lJudgcting (200~al. The ffitionale is dun this islile maj"r reference point IJIl Ik)ond Uudgcting ilnd a ~ynlm.'lIis of [he research ihalled I" Ihe concept. lherefore ,I ,;huuld be the cornmo.u denominaLnr ror UcyoOO Budgeling cllmpul1ics. Uy relying on this hook [Q anaI)~ Beyond Rudg('[ing the thesis slwuhl amid the potential problem ,,~th

gencmlising the Jinding.~_

In the lasl part of Ih", ;malysis ~"Qffipal'ly ~xampJ",! a~

used

10 droll conclusions on Ih'"

applicabili ty

I'll' Hcyond lJudgclin~ around 1'"-' 81"hL-_ Hm. w:",neral;""bllily i~ c1 .... J.rly an ;ll~"".

I'irsdy. {here is ^II risk Iha1 this Ihc.,i~ has. madl'crtL'11lly.ltK!J.ed rur inrormation lhal slIf'J1'f'T\.'

"hal was expcclcrtto

Ix:

found and overlooked contradictinG

el'idcnec.

Ihcre is no perfcel

\lay I .. guard againsl Ihis. Du\. the ~scan:hcr has

atlcaSl been

^.wa~ of

this tmd aeth'cly looked lor

evidence Ihat cunlradicllh", <1n.rnu1 ussumpLi(J~ Further the lhesIS hIlS !rialto be cautinus 001 In draw 100 slrong COI\Chl~inn~ from Ihc.o,c examplo:,. Sa:ondly. then: IS

the

^is.~ue

nf " h"lh"r an individual company. nr indeed individual. can

be

tllken as a reptt'SCntlllil'c fnr its

et)Unlr)'

m

r"lIinn ,

nl~re is II fhl;

tMt the thesis

v.ill

interpret exam pin consiiStenl

v.ilb lIofsrcdc"s dimcl1!1ions tt.~ rcprcscnuukc '1hile d;smi~sm& contradictor) ~.,ampLcs as

unrrprrscnt:ltil'c.

Inc

validity of this rests emirely

on

thc validity of Hofslroc'

s

dimensions amI rdalh'" Sl:ores, Ir

Ihey

huM true then examples eonsistem

\\;111

Ilofstede's ditnrosions

can be claImed 10 be r"'prcs",nlUlil'e,

On the last

nnte it

shoul d be mentioned

lhal

tnc analysis. both in lll1ribuling eulrurc

10 I'kyond Audgeting lind

interpreting information

and

cxampks.

is in

risl.: of

~o\'cr­

inlcrpreting~ The a~'WTI[!liun~;n Hor<:

and

Frasl.'T'~ book and lhe ",~an1ples highlighted are

due

10

mort' th.1O tile effcci of cullure,

In

t),dcr

Ul n~gatc

thi," allcmalj"e

and CQn1plc~1aI)

e",planations !\a\'C been givcn anentioll wh ere deemed reasonable,

35

In document Is Beyond Budgeting peculiarly Scandinavian, and if so what does it entail for its applicability across the world? : a cultural analysis of beyond budgeting (sider 39-43)